CMS releases annual health insurance exchanges final rule

On 18 April 2019 the Centers for Medicare & Medicaid Services (CMS) released the Notice of Benefit and Payment Parameters final rule for 2020 (2020 Payment Notice) applicable to qualified health plans (QHPs) offered on health insurance exchanges.

The regulatory changes made in the 2020 Payment Notice reflect the Trump administration's stated objectives of enhancing flexibility, affordability, program integrity, and market stability, while reducing the regulatory burden of the Affordable Care Act (ACA).

This alert highlights aspects of the 2020 Payment Notice rule-making relating to the Trump administration's drug pricing reform efforts. CMS proposed several policies aimed at encouraging enrollee utilization of generic drugs over brand drugs, but finalized only one of its proposals.

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